A study by the Investment Management Council of Chicago found that seven percent of all socially-responsible mutual funds stood up to a fiduciary due diligence audit while only five percent of all funds passed the same test.
The audit considered adherence to investment strategy, portfolio manager tenure, assets under management, performance, expense ratios and organizational stability.
"Trustees and investment committees have long made excuses for not including socially-responsible offerings in their portfolios for fear that they would be breaching their fiduciary responsibility. Our results show that this is no longer true," Don Trone, president of the IMC said in a statement.
